Will the Amazon takeover affect my LOVEFiLM account?

Web retail giant Amazon today gobbled up the UK's most popular online film rental service, LOVEFiLM.

Nervous delivery: The King's Speech will be available to LOVEFiLM subscribers in a few months - by then Amazon will own the service

Amazon already owned 42% of LOVEFiLM, which has 1.2m British subscribers, but today bought the rest of the company from the other shareholders, which include four venture capital firms and staff.

LOVEFiLM allows members to request DVDs and games online and sends them through the post, or streams movies or TV shows to their computers or TVs. Subscribers return DVDs in envelopes provided.

LOVEFiLM insisted today it was business as usual, with no changes afoot that will affect subscribers (see below).

No value has been placed on the takeover but reports have suggested the deal valued Lovefilm at around £200m.

According to LOVEFiLM, 'This acquisition will help LOVEFiLM to enhance our members' experience across Europe.'

When will the deal take place?

The transaction is subject to customary closing conditions, including regulatory review, and is expected to close in the first quarter of 2011.

How does Amazon buying LOVEFiLM affect me?

LOVEFiLM says, 'Nothing about your service will change. Your subscription and billing date remain the same.'

Will the name of the service change?

No. The service will remain branded as LOVEFiLM.

Will there be any benefits for me?

LOVEFiLM claims, 'There are a number of exciting opportunities for the future, but it's too early for us to go into details.'

Do I have to do anything?

No. LOVEFiLM says nothing about the service will change. Subscription and billing dates remain the same.

I'm an original Amazon customer – does this mean service will go back to what it was?

No. You will continue as a LOVEFiLM customer.

Will there be a retail discount with Amazon?

No. There is currently no Amazon retail discount on offer.

Will the LOVEFiLM shop remain as it is?

LOVEFiLM says: 'There are a number of exciting opportunities for the future, but it's too early for us to go into details. For now, the shop remains the same.'

Will buy buttons now link to Amazon?

LOVEFiLM says: 'There are a number of exciting opportunities for the future, but it's too early for us to go into details.'

Adrian Lowery of Thisismoney says: 'I am a LOVEFiLM subscriber and I think overall the service is a good one. Mind you, it is not quite as good as that provided by ScreenSelect, the company I originally subscribed with several years ago, who were taken over by LOVEFiLM.

After that takeover, the turnaround of DVDs through the post became slightly slower - it sometimes take a day to allocate you a new choice and get it dispatched.

That never used to happen under Screen Select.

My fear is that the same will happen with the Amazon takeover: as soon as their management poke their noses into LOVEFiLM's numbers, they will find ways to save money. And you can bet that won't mean a better service, even if it doesn't mean a worse one.'